What USDA's $12B in farmer aid could mean

The U.S. Department of Agriculture announced a $12 billion Farmer Bridge Assistance (FBA) program for farmers affected by trade disruptions such as China’s temporary boycott of American soybeans earlier this year. 

Row crop farmers will receive $11 billion by February 28, 2026. The rest will be divided among farmers who grow non-row crops, such as sugar, at a yet-to-be-determined time. 

The February payments serve as temporary relief until farmers receive additional funds stemming from the One Big Beautiful Bill Act, which is expected to arrive in October of next year, per a USDA release.

At the same time, the February payments not only serve as a stopgap to cover past bills but also improve farmers’ cash flow. That helps them when negotiating ag loans, said Farm Management Analyst Kent Thiesse. 

“If you don't plug in any projected farm program payments, it's tough to show a positive return,” Thiesse said. “That's why, not only farmers are very interested in what these payments might be, but so are ag lenders, because they have got to be able to justify making that loan to that farmer.” 

Those payments could be crucial for soybean farmers who sold their crops at a loss before a trade agreement between China and the U.S. rallied prices.

“If farmers had to sell their beans out of the field, or they didn't have storage, and they didn't get to take advantage of the improved prices, it's a big difference,” Thiesse said. “It can be several hundreds of dollars an acre difference just with those factors.”

The USDA has advised farmers to report their 2025 crop acres to their local Farm Service Agency (FSA) office by December 19. It’ll release commodity-specific payment rates by the end of the month. In the meantime, USDA recommends that producers contact their local FSA office with any questions regarding these bridge payments.

Once payment rates are announced, Thiesse said it’ll be easier for farmers to calculate how much income they can expect to earn next year. However, Thiesse questioned whether government assistance is where farmers would want to earn their money.

“Most farmers would say they [would rather] make their dollars on the farm to break even and make a profit from the market, not from Uncle Sam,” Thiesse said.